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Home Health Agencies Threatened as Wages Rise, Reimbursements Lag

Posted on Monday, February 11, 2019 12:08 PM

Many states are increasing their minimum wage, it makes it harder for home-based to stay competitive to attract and keep workers.

“In home health care, agencies’ success often depends on Medicaid reimbursement, which is not keeping up with wage inflation in some states. And in private-pay home care, increased competition for workers is putting pressure on wages that is sometimes not sustainable, forcing providers to consider other options for attracting and retaining workers.”

The rising minimum will be a problem for home health agencies in states that don’t pair minimum wage legislation with a Medicaid reimbursement increase.

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About Corridor

Corridor is the nation’s preferred partner and trusted business advisor to home health and hospice providers, providing quality services and impactful results for 30 years. Focusing on key operational, regulatory and financial challenges, Corridor delivering industry-unique solutions and deep expertise in coding, clinical documentation review, compliance, billing and collections , consulting and provider staff education . At Corridor, we make the business of caring for people Better! For the most important industry updates and news that impacts home health and hospice, please make sure to sign up for our weekly newsletter to receive the latest up-to-date industry information direct to your inbox!

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